CES 2012: Consumer Electronics President Sees Sales Growth Spurring Jobs; Advocates Arbitration vs. Patent Lawsuits

Consumer Electronics Association President Gary Shapiro told International Business Times a projected $200 billion of electronics sales in the U.S. alone is a boon to U.S. companies, spurring employment and encouraging production to return from offshore.

Earlier on Sunday, the CEA projected global electronics sales this year should surpass $1 trillion for the first time. The national trade group representing U.S. electronics makers is opening is annual International Consumer Electronics Show in Las Vegas on Monday.

"For America, this is an absolute boon," Shapiro told IBTimes in an exclusive interview. "A lot of the parts of electronics products are made by U.S. companies. All the great Internet companies are here in America, like Google and Microsoft, eBay or Hewlett-Packard."

As well, Shapiro noted the semiconductor giants like Intel, whose chips power the world's PCs, are American. He also noted that the major foreign vendors, like Panasonic, NEC and Sony "all have major U.S. presence."

On a separate measure roiling the industry - between smartphone makers like Apple and Samsung or software developers such as Google and Oracle - Shapiro said he'd welcome industry arbitration rather than lawsuits.

"Certainly we'd be open to do that," the CEA president told IBTimes. "The only thing is that it would have to be up to the companies themselves." Other U.S. industry trade associations sponsor arbitration boards for disputes with oversight from the American Arbitration Association, to keep disputes out of court.

Shapiro, a graduate of Georgetown University Law School and corporate lawyer until joining the Arlington, Va.-based trade group, said the current rash of lawsuits, with costs averaging $3 million, is a bane to the industry.

"Big companies can cross-license each other," he told IBTimes. "It's sad, because the big companies can deal with it but it becomes a barrier to entry for new companies."

Shapiro said the CEA is "open to any solution." Lawsuits, though, aren't on the agenda for the trade show, which is expected to attract 140,000 people to about 2,700 exhibits spread throughout Las Vegas.

The association president said he gives the new patent law passed in 2011 mixed reviews. The Consumer Electronics Association worked with various Congressional committees on the legislation for several years.

Shapiro also noted that aside from information and entertainment, the electronics industry can also be a spearhead towards solving the U.S. health crisis. "We have a shortage of doctors and the number of elderly is increasing," he told IBTimes.

"The solution to the problem is technology, whether it's using equipment that transcribes medical records or even advises a woman when she should get pregnant," he said.

"Certainly we'd be open to do that," the CEA president told IBTimes. "The only thing is that it would have to be up to the companies themselves." Many other U.S. industry trade associations sponsor arbitration boards for disputes with oversight from the American Arbitration Association, to keep disputes out of court.

"Big companies can cross-license each other," he told IBTimes. "It's sad, because the big companies can deal with it but it becomes a barrier to entry for new companies."

Shapiro said the CEA is "open to any solution." Lawsuits, though, aren't on the agenda for the trade show, which is expected to attract 140,000 people to about 2,700 exhibits spread over Las Vegas.

"The solution to the problem is technology, whether it's using equipment that transcribes medical records or even advises a woman when she should get pregnant," he said.